Only qualified and approved companies are able to work with the government in issuing an FHA loan. PHL is a company that is a direct lender for FHA loans. They work hard to assist clients in obtaining a mortgage for their house so that their homeownership dreams can come true.
FHA loan products make homeownership more affordable and easier to obtain. As a result, many first time homebuyers can acquire the financing they need to purchase a main residence. FHA loan requirements are more lenient than conventional financing. For instance, an FHA loan allows an individual to have:
- A down payment as low as 3.5% of the total purchase price
- A one to four unit property (new construction, existing home, condominium)
- Closing costs that can be rolled into the loan
- 100% gift option for down payment and closing costs
- Refinance option with up to 95.5% LTV
In addition, FHA loans offer loan applicants the ability to get financing for fixer-uppers and energy efficient improvements. There are even special programs for seniors.
In order to qualify and satisfy FHA loan requirements, an individual must meet certain income levels, complete homebuyer education counseling, purchase a home within certain price guidelines, live in it for a predetermined amount of time and be a qualified alien or US citizen. Also, an applicant can have a bankruptcy that was discharged over 2 years ago, higher than normal debt-to-income ratios and less than perfect credit.
Getting the right help is important in acquiring an FHA loan, which is why PHL is the best lender to use. PHL delivers personalized services that make the loan process stress-free and simple. You can meet them at their office or they can come to your home. A loan officer is ready and willing to go the extra mile to deliver excellent customer service. Contact PHL today to start your FHA loan now.
Conventional loans do not contain a government guarantee, as FHA loans do. In addition, these types of financing products only allow for an 80% LTV. Unlike an FHA loan, a conventional loan requires the applicant to have cash reserves, pay at least 5% of the down payment on their own behalf, pay for their closing costs, have a better than average credit rating, a low debt-to-income ratio and adequate income.